Lee talks up economy
President Lee Myung-bak used a national day radio address yesterday to bolster faith in Asia’s fourth-largest economy amid a global economic slowdown and sluggish factory output at home. Lee said that national debt at a third of GDP was well below the 98 percent average of other Organisation for Economic Co-operation and Development nations, while foreign currency reserves exceeded US$300 billion and the nation’s current account was in surplus. “It would not be desirable for the nation to be overwhelmed by a crisis mentality,” Lee said.
Moody’s downbeat on Nokia
A plan to provide 1 billion euros (US$1.33 billion) to Nokia Siemens Networks is negative for Nokia Oyj’s credit rating, Moody’s Investors Service said in its Weekly Credit Outlook report. Nokia and Siemens AG will each provide 500 million euros to their 50-50 joint venture, Nokia said in a statement on Thursday. “The capital injection, which we expected, is credit negative for Nokia as it reduces cash balances at the parent level, which are key to its rating,” Moody’s said. “The credit implications are much more pronounced for Nokia, whose liquidity is a key rating factor.”
Wenzhou tightens credit
Wenzhou City Government in China has set a upper limit on the lending rates charged by private non-bank institutions as part of its efforts to control systemic risk in the banking sector, the government said in a statement on its Web site on Wednesday. Private non-bank institutions can only extend loans at an interest rate that does not exceed four times the benchmark lending rate, the statement said.
Citigroup may be penalized
Citigroup Inc may be penalized by regulators in Japan for the third time since 2004 after its Japanese retail banking unit possibly breached rules by failing to fully explain product risk to customers, two people familiar with the situation said. The penalties imposed on Citigroup Japan’s retail banking division by the Financial Services Agency may include temporary suspensions of operations at some outlets, said the people, who declined to be identified as the discussion is private.
Nickel Asia suspends unit
Nickel Asia Corp, the Philippines’ largest nickel producer, said yesterday it suspended mining operations and nickel ore loading activities at its Taganito Mining Corp (TMC) unit following an attack by an armed group. Nickel Asia, partly owned by Japan’s Sumitomo Metal Mining Co Ltd, did not say when the mine at Claver in the Philippines’ Surigao del Norte province would reopen. “We understand that certain equipment of TMC, as well as our affiliate, Taganito HPAL Corporation, were burned,” the firm told the stock exchange.
Pittnam is CC Media CEO
On the heels of organizing a two-day concert in Las Vegas that kicked off Clear Channel’s iHeartRadio online radio service, media veteran Bob Pittman was named CEO of its parent company, CC Media Holdings Inc. An expert at boosting brands, Pittman is the former CEO of MTV Networks and was chief operating officer of America Online Inc. He joined the firm in November with a US$5 million investment and the job of chairman of media and entertainment platforms.
END TO SPECULATION: The hotel’s management contract has been extended, despite reports that it wanted to end its alliance with Hyatt Hotels over a deal with Riant Capital Singapore-based Hong Leong Hotel Development Ltd (豐隆大飯店股份) yesterday said it has extended a management contract to ensure the continued presence of the Grand Hyatt brand in Taipei, ending rumors that the two sides were parting ways. “We are pleased Hyatt is able to come to terms on the extension of the management contract of Grand Hyatt Taipei,” said Kwek Leng Beng (郭令明), executive chairman of City Developments Ltd (城市發展) and Millennium & Copthorne Hotels Ltd (千禧國敦酒店). Hong Leong Hotel Development is a subsidiary of Millennium, and both fall under the Hong Leong Group (豐隆集團). The Grand Hyatt Taipei (台北君悅大飯店), owned and built by
’WHITE BOX’: The open platform would give local firms access to Cisco’s cloud-based mobile network to develop 5G telecom equipment and tap into the global market The Ministry of Economic Affairs (MOEA) yesterday introduced a new 5G “open lab” in collaboration with US-based information technology and networking giant Cisco Systems Inc to address the rapidly growing “white box” 5G networking equipment market. The open lab will be a platform where Taiwanese manufacturers can access Cisco’s cloud-based mobile network to develop their own 5G telecom equipment, such as small-cell base stations, network switches, modems and Internet of things (IoT) devices, a ministry statement said. The open platform would allow Taiwanese manufacturers to tap into the lucrative 5G telecom equipment market, which was previously monopolized by Nokia Oyj, Ericsson AB
Nintendo Co is raising its target for Switch production to about 25 million units this fiscal year, people familiar with the matter said, as the ongoing COVID-19 pandemic keeps lifting demand and component shortages ease. The Kyoto, Japan-based company, which in April hiked orders to 22 million units by March next year, is asking partners to tack on another few million units, said the people, who did not want to be identified discussing internal goals. Assembly partners plan to work at maximum capacity through December. The new production target suggests that Nintendo is likely to outperform its Switch sales forecast of 19 million
‘BIG LOSS’: This year might see the last generation of Huawei’s Kirin chips, as their production would stop next month because they are made using US technology Chinese tech giant Huawei Technologies Co (華為) is running out of processor chips to make smartphones due to US sanctions and would be forced to stop production of its own most advanced chips, a company executive has said, in a sign of growing damage to Huawei’s business from US pressure. Huawei, one of the biggest producers of smartphones and network equipment, is at the center of US-Chinese tension over technology and security. Washington last year cut off Huawei’s access to US components and technology, and those penalties were tightened in May, when the White House barred vendors worldwide from using US